OKLAHOMA CITY – The Senate Energy and Telecommunications Committee met Monday to examine the issue of Right of First Refusal (ROFR) as it relates to Oklahoma’s electrical transmission system. Sen. Lonnie Paxton, R-Tuttle, requested the study to find the best method to have responsible electricity production in the state.
“This is a critical issue that impacts our economy, business community and consumers. We need to find the best path forward to provide efficient, reliable, and affordable electrical service to our citizens and businesses,” Paxton said. “Given the complexity of this issue and its widespread impact, we’ll continue having discussions in the coming months. We’ll keep the best interests of Oklahoma ratepayers at the forefront of our decision-making as we continue studying this important issue. I appreciate the wide range of perspectives provided during this study and look forward to working with all stakeholders as we work to find the best solution for Oklahoma.”
The Federal Energy Regulatory Commission (FERC) regulates electric transmission and issued Order 1000 in 2011, which allows regional transmission organizations, like the Southwest Power Pool, that Oklahoma is under, to use competitive bidding for transmission project development. In 2013, state legislation was approved allowing incumbent electric transmission providers to have the ROFR to build electric transmission lines at 300 kV (300,000 volts) and under. Legislators are trying to decide if Oklahoma should allow such entities to have the ROFR at higher voltage levels, such as 345 kV.
Proponents of expanding the ROFR say it would facilitate the development of much-needed new transmission infrastructure and is necessary to maintain state control and stop federal encroachment. Opponents, however, say such a change would be anti-business and increase rates for Oklahoma consumers and cost the state billions of dollars in future transmission projects.
A list of speakers and their presentations is available here.
Sen. Paxton: (405) 521-5537 or Lonnie.Paxton@oksenate.gov